The Federation of Industrialists warns of requirements for a reduction of working hours to 32 hours per week with full wage compensation. With an average weekly working time of 37.65 hours for full-time workers, Austria is already in the bottom third in an EU comparison. Moreover, Austrians retire relatively early and the share of part-time workers is very high.
Last year, the EU average was 38.35 hours worked per week, in Germany even 38.9 hours, according to the Federation of Austrian Industries (IV) based on Eurostat data. According to the IV, the ÖGB’s “normal working hours” statistics, according to which currently only Greeks in the EU work longer hours than people in Austria, have been shortened because public holidays and vacations are not taken into account.
New incentives instead of short-time working
At a time when companies are having difficulty finding staff, the demand for short-time work is problematic, the IV said on Wednesday. “We need to keep productivity at its current level and continue to increase it with fewer working hours to maintain our prosperity and our welfare state in this form,” IV President Georg Knill said.
The Federation of Industry proposes to create incentives for work after retirement age. Childcare and education must be expanded, full-time work must be made more attractive and qualified immigration must be promoted.
Huge economic disadvantages
According to a study by the Economica Institute commissioned by the IV, a reduction of working hours to 32 hours in Austria would lead to significant wage and salary losses. “Reducing working hours to 32 hours per week not only has economic disadvantages, but also has consequences for the personal financial future. Over the course of a working life, these losses add up to the value of a condominium,” Knill warned.
The IV emphasizes that it is already possible to spread normal working hours over 4 days and states that a reduction of working hours with full wage compensation would damage the location and suddenly increase the cost price of the hourly wage by 20 percent.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
